Adesa Corp. has acquired Mission City Auto Auction in San Diego and plans to open three other auctions by June.
Adesa, which is based in Indianapolis, has renamed its newest property Adesa San Diego. The 30-acre auction operates six lanes and has full mechanical and body reconditioning shops.
The other auctions Adesa expects to open are in or near Los Angeles; Boston; and Calgary, Alberta.
Jim Hallett, Adesa president, said the new auctions will bring the chain's total to 33 in the United States and Canada, which is in line with Adesa's expansion goal. He said he is especially pleased with the California additions.
'We're excited; we feel this (California) market has been underserved,' Hallett said.
'Our goal is to double the number of auctions; that would put us at 50 to 60 auctions within three to five years. We feel that with the announcement of these deals, we are well on target.'
Over the last five years Adesa has acquired 13 auctions and developed nine others.
Adesa's other new auctions:
Adesa Los Angeles in Mira Loma, Calif. - Adesa is nearing completion of Adesa Los Angeles, which is scheduled to open April 1. The company purchased the facility from AutoNation Inc., which initially planned to use it as a reconditioning center, Hallett said. When Adesa acquired the property, the building was partially complete and occupied about 30 acres.
Adesa purchased additional land doubling Adesa Los Angeles' size to 60 acres and is completing the 175,000-square-foot facility. The eight-lane auction will have a reconditioning center and body repair shop.
Adesa Concord in Acton, Mass. - Also slated to open in April, Adesa purchased this facility in 1992 and named it Adesa Boston. The business quickly outgrew its facility three years ago and Adesa Boston was moved to a refurbished General Motors plant in Framingham, Mass. The Acton facility was used for vehicle storage and heavy equipment and truck auctions.
The Concord facility is being reopened because the Framingham auction has reached its capacity, Hallett said. It will be a full-service auto auction.
Adesa Calgary in Calgary, Alberta - Scheduled to open in early June, Adesa Calgary will be a four-lane auction located on 48 acres and with a separate reconditioning, facility.
More growth expected
Hallett said the company expects to continue to grow in the United States and Canada but is not looking at any specific geographical area.
In addition to major metropolitan markets, the company also is shoring up its presence in secondary markets, he said.
The company acquired the Des Moines Auto Auction in Des Moines, Iowa, in May 1999 and renamed it Adesa Des Moines. Adesa is acquiring new land and plans to replace the existing four-lane, 25-acre Des Moines auction with a new six-lane, 80-acre auction in about a year.
Minnesota Power Inc. of Duluth, Minn., owns Adesa.